Chinese technology company Ant Group is seeking cryptocurrency stablecoin licenses in Hong Kong and Singapore, according to media reports.
Ant Group is led by Chinese entrepreneur Jack Ma and the company behind the Alipay payments app.
The company will apply for a stablecoin issuer license once the regulatory regime comes into effect this August, according to reports.
Ant Group is also planning to apply for a similar license in its native Singapore, as well as Luxembourg in Europe.
Market authorities in Hong Kong have been working to establish a stablecoin regime since 2023, with the legislation expected to go into effect in August of this year.
Stablecoins are cryptocurrencies whose value is pegged another asset, typically the U.S. dollar or price of gold.
Analysts and investors view stablecoins as more stable and as a counterweight to the volatility of other cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and other digital assets.
Interest in stablecoins is growing among financial and technology companies, which see them as a safer way to access the crypto market.
Progress toward stablecoin regulation in the world's biggest equity markets, such as New York and Hong Kong, is expected to accelerate institutional adoption.
Alipay is the largest mobile payment platform in the world with over one billion users. In China, Alipay controls 55% of the third-party payments market.
Ant Group is privately held and its stock does not trade on a public exchange.
